Source: PaxForex Premium Analytics Portal, Technical Insight

Lagarde: setting up a policy means reviewing all available tools:

• We acted on the first wave, we will act on the second wave;

• the GDP in the 4th quarter will be low, but we do not know if it will be negative;

• No deflation is expected;

• We will monitor the impact of the pandemic on risks;

• Banks are waiting for tighter credit conditions;

• We will accelerate PEPP purchases if necessary;

• There is little doubt that the ECB will take action in December.

EUR/USD, 30 min

Pivot: 1.1678

Analysis:

Provided that the currency pair is traded below 1.1710, follow the recommendations below:

• Time frame: 30 min
• Recommendation: short position
• Entry point: 1.1678
• Take Profit 1: 1.1665
• Take Profit 2: 1.1645

Alternative scenario: 

In case of breakout of the level 1.1710, follow the recommendations below:

• Time frame: 30 min
• Recommendation: long position
• Entry point: 1.1710
• Take Profit 1: 1.1735
• Take Profit 2: 1.1760

Comment:

RSI is bearish and indicates a downtrend within a day.

Key levels:

EUR/USD, D1

Pivot: 1.1678

Analysis:

While the price is below 1.1880, follow the recommendations below:

• Time frame: D1
• Recommendation: short position
• Entry point: 1.1678
• Take Profit 1: 1.1610
• Take Profit 2: 1.1450

Alternative scenario:

If the level 1.1880 is broken-out, follow the recommendations below.

• Time frame: D1
• Recommendation: long position
• Entry point: 1.1880
• Take Profit 1: 1.2015
• Take Profit 2: 1.2150

Comment:

RSI shows the continuation of a downtrend in a medium term.

Key levels:

We also advise you to pay attention to the following currency pairs for intraday trading:

USD/CAD – buy above 1.3275 with 1.3370 and 1.3390 targets as Take Profit. Alternative scenario - if the level 1.3275 is broken-down, sell with the TP 1.3250 and 1.3220.
GBP/USD - short positions below 1.2950 with 1.2860 and 1.2835 targets as Take Profit. Alternative scenario - if the level of 1.2950 is broken-out, buy with the targets 1.2980 and 1.3000 as Take Profit.
AUD/USD – sell below 0.7055 with 0.6975 and 0.6955 as Take Profit targets. Alternative scenario - if the level of 0.7055 is broken-out, you should consider buying with the targets 0.7075 and 0.7095 as Take Profit.